The impact of foreign direct investment on unemployment : evidence from Arab countries

Author

Izzat, Ahmad Muhammad

Source

Scientific Journal for Economic and Commerce

Issue

Vol. 50, Issue 1 (31 Mar. 2020), pp.251-285, 35 p.

Publisher

Ain Shams University Faculty of Commerce

Publication Date

2020-03-31

Country of Publication

Egypt

No. of Pages

35

Main Subjects

Economy and Commerce

Topics

Abstract EN

Theoretically, foreign direct investment (FDI) has the ability to solve a number of economic and social problems.

Reducing unemployment is at the forefront of these problems.

Empirical studies did not agree on the inevitability of the positive macroeconomic impact of FDI on reducing unemployment.

In this paper, the macroeconomic impact of FDI on national unemployment rates in general and youth unemployment in particular is examined in 8 Arab countries.

In estimating the model, a panel unit root, panel cointegration, and Granger causality tests are used.

The positive impact of FDI on reducing national unemployment is proven in the group as a whole and individually in Jordan, Morocco, and Tunisia while it leads to increase unemployment in Egypt.

The impact of FDI on reducing youth unemployment is not proven.

The causal relationship in both directions between FDI and unemployment and the speed of adjustment towards the long-term equilibrium is not proven.

American Psychological Association (APA)

Izzat, Ahmad Muhammad. 2020. The impact of foreign direct investment on unemployment : evidence from Arab countries. Scientific Journal for Economic and Commerce،Vol. 50, no. 1, pp.251-285.
https://search.emarefa.net/detail/BIM-1000191

Modern Language Association (MLA)

Izzat, Ahmad Muhammad. The impact of foreign direct investment on unemployment : evidence from Arab countries. Scientific Journal for Economic and Commerce Vol. 50, no. 1 (2020), pp.251-285.
https://search.emarefa.net/detail/BIM-1000191

American Medical Association (AMA)

Izzat, Ahmad Muhammad. The impact of foreign direct investment on unemployment : evidence from Arab countries. Scientific Journal for Economic and Commerce. 2020. Vol. 50, no. 1, pp.251-285.
https://search.emarefa.net/detail/BIM-1000191

Data Type

Journal Articles

Language

English

Notes

-

Record ID

BIM-1000191